According to the Australian Bureau of Statistics, 61.5 years old was the average age of people who retired in the past five years. The numbers are slightly different for males and females and the time at which they entered the workforce.
A superannuation calculator will help you plan your retirement for any age.
But, with the current life expectancy of around 82 years, Australians are in line to need enough money to last them for 20 years after they retire.
Now of course not everyone will retire at 61, nor live to 82. Some people want to work well beyond retirement age, others aim to retire by the time they are 40. Whatever your circumstance, it is important to consider at what age you intend to retire and how you will manage when you do.
A basic way to do a retirement plan ‘check-up’ is to use a superannuation calculator.
A superannuation calculator will give you an idea of how much money you will have at retirement, and how long this will last you. If you already have an idea how much you want to spend each year during retirement, then a superannuation calculator will tell you how much you will need in super for you retire.
The age at which you retire will ultimately depend on your individual circumstances and preferences.
There are various rules and restrictions which may make using superannuation before you are 65 years old undesirable. This doesn’t mean you can’t retire before then, only that you might need other means to support yourself.
Another thing to consider is the change requirements to be eligible for the aged pension. The widest-reaching of these changes is the eligibility age increasing from 65 to 67 by 2023, and with increases to 70 earmarked.
While some people intend to work until they are eligible for the aged pension, not everyone will want or be able, to work until they are 70. If this is you, then using a superannuation calculator to work out your current position is the first step to take.
Setting some goals and acting now to achieve those goals, is the best way of ensuring you can retire at the age you want.